10 USC § 3323 - Cost-plus contracting prohibited for military construction and military family housing projects

---
identifier: "/us/usc/t10/s3323"
source: "usc"
legal_status: "official_legal_evidence"
title: "10 USC § 3323 - Cost-plus contracting prohibited for military construction and military family housing projects"
title_number: 10
title_name: "ARMED FORCES"
section_number: "3323"
section_name: "Cost-plus contracting prohibited for military construction and military family housing projects"
chapter_number: 242
chapter_name: "SPECIFIC TYPES OF CONTRACTS"
part_number: "V"
part_name: "ACQUISITION"
positive_law: true
currency: "119-84"
last_updated: "2026-04-17"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(Added and amended Pub. L. 116–283, div. A, title XVIII, § 1817(a), (g), Jan. 1, 2021, 134 Stat. 4186, 4187; Pub. L. 118–31, div. A, title XVIII, § 1801(a)(27), Dec. 22, 2023, 137 Stat. 684.)"
---


# § 3323. Cost-plus contracting prohibited for military construction and military family housing projects

**(a)** **Prohibition.—** A contract entered into by the United States in connection with a military construction project or a military family housing project may not use any form of cost-plus contracting.

**(b)** **Applicability.—** The prohibition specified in subsection (a)—

**(1)** is in addition to the prohibition specified in section 3322(a) of this title on the use of the cost-plus-a-percentage-of-cost system of contracting; and

**(2)** applies notwithstanding a declaration of war or the declaration by the President of a national emergency under section 201 of the National Emergencies Act (50 U.S.C. 1621) that includes the use of the armed forces.

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**Source Credit**: (Added and amended Pub. L. 116–283, div. A, title XVIII, § 1817(a), (g), Jan. 1, 2021, 134 Stat. 4186, 4187; Pub. L. 118–31, div. A, title XVIII, § 1801(a)(27), Dec. 22, 2023, 137 Stat. 684.)

## Editorial Notes

### Codification

The text of subsec. (c) of , which was transferred to this section and amended by , was based on , , .

### Amendments

2023—Subsec. (b)(2).  struck out period after “notwithstanding”.

2021—Subsec. (a). , (2), redesignated subsec. (c) of  as subsec. (a) of this section and inserted heading. Former second sentence of subsec. (a) designated subsec. (b).

Subsec. (b). , (3), designated second sentence of subsec. (a) as subsec. (b), inserted heading, and substituted “The prohibition specified in subsection (a)—

“(1) is in addition to the prohibition specified in  on the use of the cost-plus-a-percentage-of-cost system of contracting; and

“(2) applies notwithstanding. a declaration”

for “This prohibition is in addition to the prohibition specified in subsection (a) on the use of the cost-plus-a-percentage-of-cost system of contracting and applies notwithstanding a declaration”.

## Statutory Notes and Related Subsidiaries

### Effective Date

Section and amendment by  effective , with additional provisions for delayed implementation and applicability of existing law, see , set out as an Effective Date of 2021 Amendment note preceding .